MKTG Quiz 3: Potential Quiz Questions

Which of the following types of data would be the best choice for Wendy's fast food restaurants if the headquarters office wants to know how many hamburgers versus chicken sandwiches it has sold in past years? a. Internal secondary data b. External secondary data c. Survey responses d. Focus group data e. Observation data

a. Internal secondary data

Which of the following is NOT one of the four product life cycle stages? Select one: a. growth b. maturity c. location d. decline e. introduction Feedback

c. location

Marketers with luxury brands use brand extension cautiously to avoid Select one: a. diluting the core brand. b. exclusive co-branding arrangements. c. private label branding disputes. d. product line extension limitations. e. brand licensing fees.

a. diluting the core brand.

Marketers spend billions of dollars annually attempting to build effective brands. One basic benefit of a brand is that it Select one: a. provides a way for a firm to differentiate its product offerings from competitors. b. offers consumers promotional parity. c. reduces the need for product line depth. d. creates a basis for effective packaging.e. allows manufacturers to capitalize on promotional expenditures.

a. provides a way for a firm to differentiate its product offerings from competitors.

Marketers spend billions of dollars annually attempting to build effective brands. One basic benefit of a brand is that it Select one: a. provides a way for a firm to differentiate its product offerings from competitors. b. offers consumers promotional parity. c. reduces the need for product line depth. d. creates a basis for effective packaging. e. allows manufacturers to capitalize on promotional expenditures.

a. provides a way for a firm to differentiate its product offerings from competitors.

Which of the following is NOT one of the benefits to a firm of new product development? Select one: a. reduced costs of production. b. avoiding market saturation from products that have been on the market for a long time. c. keeping up in a market where sales come mostly from new products. d. satisfying the changing needs of current and new customers. e. creating diversification and reducing risk.

a. reduced costs of production.

If a marketing researcher has to collect data under severe time constraints, which of the following types of data sources would probably be available soonest? A. syndicated data B. focus group data C. experimental data D. survey data

a. syndicated data

Jalel is the marketing manager for a moderately well-known rock band. He wants to know more about industry trends, including sales by different musical styles, online downloads, and concert attendance. Jalel will most likely use __________ to gather this type of data. A. syndicated data B. census data C. sales invoices D. focus groups E. observation

a. syndicated data

Brand extension is a popular marketing strategy because Select one: a. the firm can spend less on creating brand awareness and associations. b. it allows the firm to discontinue complementary products. c. it separates out the cost of brand extension from brand intention. d. it avoids the problem of brand dilution. e. it guarantees success for a new product.

a. the firm can spend less on creating brand awareness and associations.

The process by which the use of a new product or service spreads throughout a market group is referred to as Select one: a. lead user dispersion. b. diffusion of innovation. c. product development diffusion. d. the product life cycle. e. new product introduction.

b. diffusion of innovation.

When consumers associate a brand with a certain level of quality and familiar attributes, allowing consumers to make quick decisions, the brand Select one: a. establishes novelty. b. facilitates purchasing. c. is the only one the consumer will consider. d. creates brand dilution. e. reduces delivery costs.

b. facilitates purchasing.

Which of the following is the correct sequence of new product adopters in the diffusion of innovation curve? Select one: a. innovators, late majority, early adopters, early majority, laggards b. innovators, early adopters, early majority, late majority, laggards c. innovators, early majority, early adopters, innovators, late majority, laggards d. early adopters, early majority, innovators, late majority, laggards e. early majority, late majority, early adopters, innovators, laggards

b. innovators, early adopters, early majority, late majority, laggards

One key feature of the value of a strong brand is that Select one: a. it cannot be successfully imitated by a retailer's own brand. b. it can protect the firm from competition. c. it no longer needs to be supported by advertising and promotion. d. competitors will typically abandon a sector altogether rather than compete. e. if it becomes a generic name, the brand is worth even more.

b. it can protect the firm from competition.

When Meg planned her trip to Australia, she spent months evaluating packages, airfares, and hotel accommodations. Meg's trip is an example of a ________ product. Select one: a. unsought b. shopping c. sought d. specialty e. convenience

b. shopping

Whenever the president of the local public university promotes the institution, he emphasizes the university's price (much lower than neighboring private colleges) and high quality. He is positioning the institution based primarily on: Select one: a. profitability. b. the value proposition. c. product attributes. d. competitive comparisons. e. symbols.

b. the value proposition.

Firms can measure the success of a new product by all of the following factors EXCEPT Select one: a. satisfactory performance. b. satisfactory sales and profits. c. fewer competitors in the market. d. customer acceptance. e. satisfaction of its technical requirements.

c. fewer competitors in the market.

Marketers with successful brands sometimes hesitate to expand their brands because a. Federal Trade Commission regulations limit the number of products that can be marketed under an individual brand name. b. manufacturing divisions usually control brand expansion and are often in conflict with the marketing division. c. it is costly to maintain many product lines, and it might weaken the brand's meaning. d. the current economy can only support a limited number of product options. e. it is often difficult to get additional marketing communications coverage for the brand.

c. it is costly to maintain many product lines, and it might weaken the brand's meaning.

When microwaves were new, they often cost over $300, were huge, and had numerous settings and options. Brenda and Bart waited, concerned about potential health hazards and wishing for more choices in the market. By the time they purchased a microwave, sales of microwaves had leveled off and prices had declined significantly. Brenda and Bart were part of the ___________ diffusion of innovation group. a. innovator b. laggard c. late majority d. early majority e. early adopter

c. late majority

When Ron complained to his bank about the unprofessional behavior of one teller, the branch manager added a code into his accounts alerting all tellers that Ron was a valued customer and to provide whatever service he requests. The branch management included Ron in its __________ segmentation. Select one: a. geodemographic b. geographic c. loyalty d. psychographic e. benefit

c. loyalty

Many former Enron professionals who had nothing to do with the corporate scandal found that listing employment with Enron hurt their chances of being hired elsewhere. For these people, the Enron name has Select one: a. brand dilution. b. private label impact. c. negative brand equity. d. no brand associations. e. unspent brand loyalty.

c. negative brand equity.

A toothpaste tube is an example of a ________ package. Select one: a. private-label b. convenience c. primary d. secondary e. brand positioning

c. primary

Microsoft's Windows operating system continues to dominate the market, even though it has been around for over twenty years. Windows will likely remain in the maturity stage of the product life cycle Select one: a. indefinitely. b. unless Microsoft repositions Windows as an introductory stage product. c. until a superior product comes along to replace it. d. until it rules the world. e. as long as the company doesn't change it.

c. until a superior product comes along to replace it.

Brian is trying to sell a new line of ultrasound imaging equipment. Unlike existing technology, these machines are compact, creating the potential for general practice physicians to have and use them in their offices. Brian is trying to identify innovators in his market, knowing these customers will Select one: a. not need any service or support when using the product. b. create demand among the late majority. c. buy one for each office in their practices. d. spread positive word of mouth to other physicians. e. reposition his products.

d. spread positive word of mouth to other physicians.

Brian is trying to sell a new line of ultrasound imaging equipment. Unlike existing technology, these machines are compact, creating the potential for general practice physicians to have and use them in their offices. Brian is trying to identify innovators in his market, knowing these customers will Select one: a. not need any service or support when using the product. b. create demand among the late majority. c. buy one for each office in their practices. d. spread positive word of mouth to other physicians. e. reposition his products.

d. spread positive word of mouth to other physicians.

Toothpastes sold in supermarkets and pharmacies promise various results, such as whiter teeth, protection against gum disease, tartar control, or fresh breath. Toothpaste marketers are using __________ segmentation. Select one: a. psychographic b. demographic c. loyalty d. geodemographic e. benefit

e. benefit

If a fast food restaurant collected photographs of its regular customers so that it could use facial detection software to identify visitors captured by security cameras, this would be an example of using Select one: a. social media monitoring. b. sentiment mining. c. illegal surveillance methods. d. external secondary data. e. biometric data

e. biometric data

Brands are assets that can be legally protected through a. brand extensions. b. generic branding c. corporate branding strategies d. financial reporting e. copyrights and trademarks

e. copyrights and trademarks

Companies that develop customized business software often work closely with their users when installing their products. This close contact often creates new product ideas through Select one: a. clinical trials. b. reverse engineering. c. licensing technology. d. R&D consortia. e. customer input.

e. customer input.

The potential benefits of brand extension do NOT include Select one: a. boosting sales of the core brand. b. spending less on creating brand awareness and associations. c. allowing the perception of a brand with a quality image to be carried over to the new product. d. lowering marketing costs. e. eliminating competition.

e. eliminating competition.

Education marketers have learned that the primary motivations of most nontraditional college students are self-respect and self-fulfillment. Understanding the values of this market segment allows marketers to Select one: a. lower the price for this market segment. b. offer alternative courses based on geographic location. c. use micromarketing strategies. d. employ loyalty marketing strategies. e. emphasize the benefits these consumers are looking for in a college education.

e. emphasize the benefits these consumers are looking for in a college education.

Carlos has identified four potential market segments for his Rent- A-Nurse service. He will now compare the segments to see whether they are distinct from each other. Carlos is evaluating whether each segment is Select one: a. profitable. b. responsive. c. reachable. d. substantial. e. identifiable.

e. identifiable.

The __________ step in the product development process is critical, requiring tremendous resources and extensive coordination of all aspects of the marketing mix. Select one: a. evaluation of results b. product development c. pretesting d. post-testing e. product launch

e. product launch

Caroline is assessing market growth, market competitiveness, and market access for each segment she has identified. Caroline is assessing the __________ of each potential market segment. Select one: a. reach b. substance c. responsiveness d. identification e. profitability

e. profitability

A marketing professor in Ithaca, New York, maintains a museum of failed consumer products. Most new products in this museum failed during the __________ stage of new product development, when they are introduced to a limited geographical area. Select one: a. concept testing b. pretesting c. product development d. product launch e. test marketing

e. test marketing

Marketing research includes all of the following EXCEPT A. collecting data. B. creating data. C. recording data. D. interpreting data. E. analyzing data.

b. creating data.

Adidas Group owns Reebok, Rockport, and TaylorMade brands. Adidas uses the different brands to pursue a(n) __________ strategy. Select one: a. undifferentiated targeting b. differentiated targeting c. concentrated targeting d. micromarketing e. benefit targeting

b. differentiated targeting

Whether they like them or not, most U.S. automobile customers are familiar with and have an opinion about American-made cars. This familiarity makes it easier for consumers to Select one: a. pursue generic alternatives. b. make purchase decisions. c. consider repositioning their opinions. d. negotiate discounts. e. meet their self-actualization needs.

b. make purchase decisions.

Zappos is a successful online shoe company. One of the difficulties in running a shoe company is the need to have significant __________, a large number of items in each product line. Select one: a. product mix breadth b. product line depth c. brand equity d. product mix depth e. product line breadth

b. product line depth

Ryan wants to sell personal website services to American soldiers in Afghanistan. Because of the difficulty of communicating with people in a war zone, Ryan may have trouble with this segment not being Select one: a. substantial. b. reachable. c. quantifiable. d. identifiable. e. perceptive.

b. reachable.

Ella had been using an imported brand of shampoo for several years, but she could no longer find it anywhere. As she was considering what kind of shampoo to try, she was surprised to see ads for Procter & Gamble's Head & Shoulders being promoted as a glamorous health-oriented product. She had always thought of Head & Shoulders as an anti-dandruff shampoo. The new ads suggest that Head & Shoulders has been Select one: a. reformulated. b. rebranded. c. licensed to a premium shampoo manufacturer. d. extended as a brand. e. co-branded

b. rebranded.

When Victoria's Secret offers different product lines, such as its Pink line, it is trying to capture the market by Select one: a. offering everything to everyone. b. segmenting, targeting, and positioning. c. focusing exclusively on its Pink brand. d. trying lots of options to find out which one works. e. continual test marketing.

b. segmenting, targeting, and positioning.

What is wrap rage? Select one: a. frustration of a customer when a package is oddly shaped and cannot be easily gift wrapped b. the reaction of a salesperson when the secondary packaging does not bear a bar code c. a reaction by environmentalists when nonrecyclable materials are used for the secondary packaging d. customer anger when the outside wrapping does not accurately portray what is inside the package e. frustration by a customer when the packaging makes it difficult to get at the product

e. frustration by a customer when the packaging makes it difficult to get at the product

What is wrap rage? Select one: a. frustration of a customer when a package is oddly shaped and cannot be easily gift wrapped b. the reaction of a salesperson when the secondary packaging does not bear a bar code c. a reaction by environmentalists when nonrecyclable materials are used for the secondary packaging d. customer anger when the outside wrapping does not accurately portray what is inside the package e. frustration by a customer when the packaging makes it difficult to get at the product

e. frustration by a customer when the packaging makes it difficult to get at the product

For new product marketers, early adopters are important because they tend to be Select one: a. fond of prototypes. b. the first to adopt a new product. c. alpha testing enthusiasts. d. few in number. e. opinion leaders.

e. opinion leaders

For new product marketers, early adopters are important because they tend to be Select one: a. fond of prototypes. b. the first to adopt a new product. c. alpha testing enthusiasts. d. few in number. e. opinion leaders.

e. opinion leaders

Walmart is known for its efficient logistical systems. Every time consumers buy something, that purchase is recorded and sent to company headquarters, where it is used to generate reorders to vendors. In addition, customers' billions of purchases are analyzed using data mining techniques to uncover patterns of consumers' purchasing behavior. This is an example of A. data isolation. B. data mining. C. secondary data collection. D. sentiment mining. E. qualitative research.

B. data mining

Golf ball manufacturers use Iron Mike, a machine that swings a golf club at a constant velocity, to test the distance for new golf ball designs. When using Iron Mike, the manufacturers are engaged in Select one: a. concept testing. b. market testing. c. premarket tests. d. alpha testing. e. product development.

d. alpha testing.

__________ are special incentives offering reduced prices for a limited time, offered to retailers to get them to try a new product. Select one: a. Introductory price promotions b. Market skimming incentives c. Loss leaders d. Distribution rebates e. Push prices

a. Introductory price promotions

A major advantage of primary data collection is that A. it can be easily accessed through syndicated databases. B. it can be tailored to meet the specific research needs. C. it takes less time to collect than secondary data. D. it is general enough to meet many researchers' needs. E. all of these are advantages of primary research data.

a. It can be tailored to meet the specific research needs.

________ is another term for private-label brands. Select one: a. Store brands b. Experiential brands c. National brands d. Manufacturer brands e. Off brands

a. Store brands

Beer marketers know that high school educated, working-class males from the ages of 25 to 40 make an attractive market for their products. This is a __________ segment of the beer market. Select one: a. demographic b. behavioral c. benefits d. psychographic e. geographic

a. demographic

One important purpose of a brand is to a. increase consumer recognition and awareness of product offerings b. meet government regulations c. sell advertising space d. inform product packaging e. minimize product line depth needed to be effective

a. increase consumer recognition and awareness of product offerings.

Firms use a differentiated targeting strategy because Select one: a. it helps to obtain a bigger share of the market. b. most market segments are too small to be profitable. c. banks are more willing to extend credit to companies with this strategic approach. d. it is better than focusing on individual or small groups of potential customers. e. it is easier than mass marketing.

a. it helps to obtain a bigger share of the market.

When Mr. How, a Pennsylvania-based discount lumber and hardware chain, sent snow blowers to its Augusta, Georgia, store in April, it was engaged in Select one: a. misguided geographic segmentation. b. geodemographic segmentation. c. benefit segmentation. d. psychographic segmentation. e. concentrated segmentation.

a. misguided geographic segmentation.

When a research team has gathered data for specific research needs, this is known as a. primary data. b. data mining. c. secondary data. d. data recovery. e. data modeling.

a. primary data

Which of the following best describes when Johnson & Johnson introduces a travel-sized package for its existing baby oil product? Select one: a. brand extension b. line extension c. rebranding d. brand dilution e. co-branding

b. line extension

Which of the following is NOT true regarding secondary packaging? Select one: a. It can be an important positioning tool to convey the brand image. b. It is of little value to the average consumer. c. It can provide information to consumers not found on the primary packaging. d. It can allow for cost efficiencies due to larger order and shipment sizes. e. It is important to the retailer in terms of convenience in handling.

b. It is of little value to the average consumer.

Which of the following is NOT true regarding secondary packaging? Select one: a. It can be an important positioning tool to convey the brand image. b. It is of little value to the average consumer. c. It can provide information to consumers not found on the primary packaging. d. It can allow for cost efficiencies due to larger order and shipment sizes. e. It is important to the retailer in terms of convenience in handling. Feedback

b. It is of little value to the average consumer.

If a few of Nintendo's customers are asked to try out a new video game that has not yet been released on the market, this is an example of Select one: a. concept testing. b. beta testing. c. premarket tests. d. test marketing. e. market testing.

b. beta testing

Jenna always buys Stacy's brand pita chips. She does not even consider alternatives. Jenna is a __________ customer. Select one: a. price sensitive b. brand loyal c. brand extension oriented d. brand association oriented e. brand persuasion oriented

b. brand loyal

The basic reason manufacturers spend time and money building their own brands is to Select one: a. create positioning possibilities for their generic product lines. b. build brand equity. c. maximize product line depth. d. offset the power of private label manufacturers. e. create brand awareness.

b. build brand equity.

For marketers, one of the benefits of having achieved brand loyalty is Select one: a. recognition through industry awards. b. lower marketing costs associated with reaching loyal customers. c. increased price sensitivity among loyal customers. d. few worries about copyright infringement. e. greater concern about competitors' actions.

b. lower marketing costs associated with reaching loyal customers.

Brands that are owned by ___________ are called private-label brands. Select one: a. manufacturers b. retailers c. manufacturer's reps d. wholesalers e. supply chain specialists

b. retailers

What U.S. government agency has primary responsibility in reviewing food and package labels to ensure claims made by the manufacturer about the product are true? Select one: a. Consumer Product Safety Administration b. Interstate Commerce Commission c. Food and Drug Administration d. Federal Communications Commission e. Federal Trade Commission

c. Food and Drug Administration

About 30% of packaged goods have lost content recently. How have consumers reacted? Select one: a. As long as the price is also reduced, they don't seem to mind. b. In a few cases, consumer outrage has caused manufacturers to go back to the original packaging. c. Most of the changes have gone unnoticed by consumers. d. Consumers have demanded that companies reduce their prices accordingly. e. A number of lawsuits are pending.

c. Most of the changes have gone unnoticed by consumers.

__________ involves taking apart a product, analyzing it, and creating an improved product that does not infringe on the competitor's patents. Select one: a. Redistribution b. Reverse innovation c. Reverse engineering ' d. Selective dissection e. Creative destruction

c. Reverse engineering

During the ___________ stage of the product life cycle, firms either position themselves for a niche market of loyal consumers or they exit the market. Select one: a. leveling b. growth c. decline d. introduction e. maturity

c. decline

For a brand name to be effective, it needs to be a. generic, so it can be applied to as many brands as possible b. a catchy, tongue-twisting phrase c. easy for consumers to recognize and remember d. associated with a sports or movie superstar e. a visual image containing human characters

c. easy for consumers to recognize and remember

During the introduction stage of a product's life cycle, typical consumers are Select one: a. early majority. b. pioneers. c. innovators. d. early adopters. e. laggards.

c. innovators.

Suppose that Walgreens (a major drug store chain) wants to introduce its own brand of cough medicine that is similar in contents and packaging to a national brand, but at a lower cost. What kind of brand would Walgreens be introducing? Select one: a. counterfeit brand b. manufacturer brand c. private-label brand d. premium brand e. national brand

c. private-label brand

Suppose that Walgreens (a major drug store chain) wants to introduce its own brand of cough medicine that is similar in contents and packaging to a national brand, but at a lower cost. What kind of brand would Walgreens be introducing? Select one: a. manufacturer brand b. premium brand c. private-label brand d. national brand e. counterfeit brand

c. private-label brand

Which of the following is NOT one of the important functions of labels on products and packages? Select one: a. promoting the brand or complementary brands b. providing consumer information to assist in purchasing c. protecting against damage to the product d. listing ingredients e. identifying the brand and building brand image

c. protecting against damage to the product

__________ is the process by which ideas are transformed into new products and services that will help firms grow. Select one: a. Competition b. Concept testing c. Beta testing d. Innovation e. Reverse engineering

d. Innovation

Commercial research firms like ACNielsen and SymphonyIRI Group are sources of A. primary data. B. internal secondary data. C. data mining. D. syndicated data. E. public data.

d. Syndicated data

Which of the following is NOT one of the four criteria used for determining how good a brand is or how much equity it has?Select one: a. brand associations b. brand loyalty c. brand awareness d. brand conceptualization e. perceived value

d. brand conceptualization

Jake developed a toothpaste using only natural ingredients, and he has been quite successful selling the product in health food stores and some grocery stores. He has recently developed a toothbrush using bamboo and natural components. Jake is considering a __________, giving the toothbrush the same brand name as the toothpaste to have greater brand awareness. Select one: a. premium brand b. co-brand c. natural brand d. brand extension e. joint brand

d. brand extension

Jenna always buys Stacy's brand pita chips. She does not even consider alternatives. Jenna is a __________ customer. Select one: a. brand persuasion oriented b. brand extension oriented c. brand association oriented d. brand loyal e. price sensitive

d. brand loyal

Charles wants to survey recent customers about the quality of service they received at his small auto service dealership. He has customers' mailing and e-mail addresses. Charles will likely use an online survey primarily because it offers A. relatively low response rates. B. the ability to share video with respondents. C. the ability to ask sensitive questions with anonymity. D. fast responses at a lower cost. E. the opportunity to survey both existing and potential customers.

d. fast responses at a lower cost.

Golden Years Vitamin Corporation targets consumers living in Florida who are over age 65. Golden Years is using __________ segmentation. a. loyalty b. benefit c. self-actualization d. geodemographic e. psychographic

d. geodemographic

Procter & Gamble is a huge national brand manufacturer. By having leading brands like Tide and Crest, P&G Select one: a. has greater opportunity to dictate retail pricing. b. can increase brand dilution. c. can eliminate any local competition. d. has greater control over marketing strategy. e. can monopolize store brands.

d. has greater control over marketing strategy.

Another name for a manufacturer's brand is a __________ brand. Select one: a. private-label b. premium c. systematic d. national e. extended

d. national

Firms spend millions of dollars annually to build brand equity, that recognizing brand equity contributes to Select one: a. brand liability. b. perceived brand personality. c. corporate stakeholder relations. d. profitability. e. product mix breadth.

d. profitability.

Before the development of computer-assisted design software, many firms handcrafted __________, wooden or clay models that served as rough physical representations of a new product. Select one: a. blockbusters b. designer models c. premarket tests d. prototypes e. storyboards

d. prototypes

VALS is the most widely used __________ segmentation tool. Select one: a. geographic b. benefits c. geodemographic d. psychographic e. behavioral

d. psychographic

When McDonald's comes up with a new drink or sandwich for its restaurants, it often markets it in a dozen or so of its outlets. When the company does this, it is engaged in Select one: a. concept testing. b. pretesting. c. product development. d. test marketing. e. product launch.

d. test marketing.

Now that the consumer demand is building for Miranda's new organic shampoo, she and her team face a new set of decisions. Which of the following is NOT one of the decision items on the agenda for the team discussion of place in the marketing mix for a new product launch? Select one: a. Where should the merchandise be stored: at distribution centers or shipped directly to the stores? b. Which retailers are chosen to sell the product? c. How much should be shipped initially to the stores? d. Should the manufacturer be involved in reordering decisions? e. Are the packaging colors working well with the target markets?

e. Are the packaging colors working well with the target markets?

__________ segmentation is the most common basis of consumer market segmentation because these segments are easy to define and usually easy to reach. Select one: a. Behavioral b. Benefits c. Psychographic d. Geographic e. Demographic

e. Demographic

Which of the following adopter categories refers to the last large group of buyers to enter a new product market? Select one: a. Innovators b. Early majority c. Early adopters d. Laggards e. Late majority

e. Late majority

Which of the following brand strategies is being used when the local ice cream shop decides to add a new flavor to its menu?Select one: a. a multi-brand b. a premium brand c. a copycat brand d. a brand extension e. a line extension

e. a line extension

Whenever Donald considers upgrading his personal computer system, he consults with Jeremy, a knowledgeable friend who always has the newest technology. For Donald, Jeremy is a __________ in the diffusion of innovation curve. Select one: a. early majority b. late majority c. laggard d. early adopters e. innovator

e. innovator

A __________ brand is one where there is a contractual arrangement between firms allowing one to use its brand name for a fee. Select one: a. joint venture b. shared c. franchise d. common use e. licensed

e. licensed

Where on a product's packaging would one most likely find nutrient content and country of origin? Select one: a. on the store shelf display b. inside the secondary package c. on the company website d. inside the primary package e. on the label

e. on the label